Make saving for your future a possibility with an MSUFCU IRA Loan. Whether you open a Traditional IRA, which provides tax-deferred growth, or a Roth IRA that offers tax-free qualifying withdrawals, both will be beneficial for retirement. Plus, IRAs can offer great tax advantages!1 Fund your IRA with our IRA Loan today!

Borrow up to the amount deposited to an IRA Certificate at a loan rate 2 percentage points above the rate paid on the MSUFCU Certificate you select.

Example:
If your MSUFCU IRA Certificate rate is 1.50% APY, the loan rate for the IRA Loan will be 3.50% APR.

The Coverdell Education Savings Account (CESA) is an account that allows individuals to save money for a child's education. Contributions are non-deductible but feature tax-free, penalty-free withdrawals for certain educational expenses before the beneficiary reaches age 30.

Annual contribution limit of $2,000

Qualified education expenses include tuition and certain related expenses required for enrollment in a course at an eligible educational institution. Student-activity fees and expenses for course-related books, supplies, and equipment are included if the fees and expenses must be paid to the institution as a condition of enrollment or attendance.

Open a CESA

Open a CESA at any MSUFCU branch, or visit the IRA Service Center by clicking the button below.

A Roth IRA gives you the ability to invest your after-tax dollars today and take qualifying withdrawals tax free after five years on deposit and if you are at least age 59½, disabled, or are a first-time home buyer. Contributions may be made at any age, as long as you have earned income.

Tax Year

Contribution Limits1

2014

$5,500 ($6,500 for catch-up contributors age 50 and over)

2015

$5,500 ($6,500 for catch-up contributors age 50 and over)

Open a Roth IRA

Open a Roth IRA at any MSUFCU branch, or visit our IRA Service Center by clicking the button below.

1Contributions to your Roth IRA may be limited by your filing status and income. Be sure to discuss your specific tax situation with your tax advisor.

A Traditional IRA allows for tax deferred growth of contributions and earnings to be tax deferred until you withdraw them at retirement, when you may be in a lower tax bracket. Contributions can be made if you are under age 70½ for the tax year that you are contributing and have earned income. Traditional IRA owners must begin taking distributions when he/she is 70½ years of age.

Tax Year

Contribution Limit

2014

$5,500 ($6,500 for catch-up contributors age 50 and over)

2015

$5,500 ($6,500 for catch-up contributors age 50 and over)

Open a Traditional IRA

Open a Traditional IRA at any MSUFCU branch, or visit our IRA Service Center by clicking the button below.

The Simplified Employee Pension (SEP) Plan IRA is a retirement plan established by an employer or self-employed individual that offers higher contribution limits than a standard Traditional IRA. SEP Plans provide employers with a simplified way to contribute funds toward an employee's retirement or, if self-employed, his or her own retirement. Amounts contributed and earnings offer tax deferred growth until withdrawn. Contribute at any age as long as you receive income.

Open a SEP Plan IRA

Open a SEP Plan IRA at any MSUFCU branch, or visit the IRA Service Center by clicking the button below.

Individuals already enrolled in employer-sponsored pension plans will not be eligible for the SEP Plan IRA.

A Health Savings Account, or HSA, is an IRA-like account that is designed exclusively for covering medical expenses incurred by the person who establishes the account and his or her dependents.

In order for HSA assets to retain their tax-free status, they may only be withdrawn and used for certain expenses.1 These expenses include: most medical, dental and vision care, premiums for long-term care insurance, health insurance when unemployed, and certain health insurance premiums after age 65. Funds used for non-medical expenses after age 65 are treated as taxable income.

HSA Options

HSA Certificate

Choose an HSA Certificate to maximize the growth of your HSA. Terms range from 3 months to 5 years. The One-Year Add-On HSA Certificate can be opened with as little as $50.00 and may be added to at anytime, making this a great option for payroll deduction. HSA Certificates allow for one withdrawal before the maturity date without an early withdrawal penalty. If you will be making more frequent withdrawals, we recommend the HSA IMMA for greater flexibility.

HSA IMMA
The HSA Insured Money Management Account, or HSA IMMA, is a variable rate savings that offers a tiered rate of return based on the daily balance. Minimum initial deposit is only $50 and you may make additional deposits for any amount and at any time. Electronic transfers are limited to 6 per month according to federal Regulation D and there are no limits to the amount of times you may access funds in person at one of our branch locations. This account can also provide overdraft protection for your HSA Checking.

HSA CheckingEnjoy immediate access to your HSA funds with an HSA Checking. Write a check or use your HSA Visa Debit Card to pay for doctor's co-pay, office visits, prescriptions, etc. and the funds will come directly from your HSA Checking. There are no monthly service fees and no minimum balance. Manage your HSA Checking 24/7 via ComputerLine, the MSUFCU Mobile app, or MoneyLine, and sign up for monthly eStatements for added convenience and account security. Pair your HSA Checking with our Bill Payment feature for added flexibility. Set up payments in Computerline to come from your HSA Checking automatically or as needed for FREE.

Rolling over your IRA is perfect when changing jobs or for keeping your retirement savings on track. An MSUFCU IRA is a great way to ensure your funds are invested to your tax benefit, whether the funds are with a Traditional or Roth.

Direct Rollover

Direct Rollover is a qualified retirement plan or tax-sheltered annuity distribution that is sent directly from the plan administrator to an IRA. Funds moved to an IRA via a direct rollover are not subject to federal income tax withholding.

Indirect Rollover

An IRA owner may withdraw funds from an IRA once in a 12-month period and pay no tax or IRS penalties provided the funds are rolled over to a similar plan within 60 days.

Transfer

A Direct Transfer is a movement of IRA funds from an existing IRA (this includes an Accumulation, Rollover, Spousal, or SEP Plan) to a like plan. A Direct Transfer can only be made between IRA custodians or trustees. There are no limitations to the number of times that an IRA owner may initiate a Direct Transfer and there are no tax implications when transferring funds between financial institutions.

Move Your IRA to MSUFCU

Complete the IRA forms via our online IRA Service Center, visit an MSUFCU branch, or call 517-333-2424 or 800-678-4968 to learn more about moving your IRA to MSUFCU.

Legislative changes to Michigan’s income tax withholding laws became effective on January 1, 2012. As an IRA holder, you may be affected by these laws.

The Michigan Income Tax Act is requiring taxpayers, who are legal residents of Michigan and are born on or after January 1, 1946, to withhold 4.25% of all Traditional and Roth IRA withdrawals for the purpose of state income tax. As the custodian of your IRA, the MSUFCU is required by law to send these funds to the State of Michigan.

If you are eligible to have a withholding rate other than 4.25% withheld or you elect not to have state income tax withheld on your IRA disbursements, you will be required to complete form MI W-4P and return it to the Credit Union in advance of the withdrawals. For more detailed information, visit the Michigan Department of Treasury 2012 Pensions Withholding Guide. An updated version of the MI W-4P can be found here.

You may qualify for personal exemptions that would reduce the amount required to be withheld. In addition, you may elect not to have state income tax withheld from your distributions and may choose to make estimated tax payments. There may be penalties for not paying enough state income tax during the year, either through withholding or estimated tax payments. Please consult the advice of a professional tax consultant to determine your options.